Reliance outpaces enterprise in petrol, diesel income from its outlets

Reliance outpaces enterprise in petrol, diesel income from its outlets

Reliance Industries Ltd (RIL) has outpaced enterprise in clocking double digit sales growth in petrol and diesel from its nearly 1,400-odd petrol pumps in the 0.33 quarter ended December 31, 2019.

In an investor presentation publish announcing income for October-December 2019, Reliance, operator of the world’s greatest oil refining complex, stated it registered an eleven per cent boom in diesel income and 15 per cent boom charge in petrol income from its 1,394 gasoline retail outlets.

This is compared to enterprise boom charge of 0.2 per cent for diesel and 7.1 per cent for petrol.

Its per outlet throughput at 342 kilolitres per month was once also nearly double that of petrol pumps operated by public region companies such as Indian Oil Corp (IOC) and Bharat Petroleum Corp Ltd (BPCL).

“Superior product combine and high asset utilisation underpinned strong earnings,” it stated in the presentation adding India’s oil demand grew 3.2 per cent in October-December with petrol demand rising 7.1 per cent and LPG surging through 15 per cent.

“Preference for petrol cars, enhancing road infrastructure and rural connectivity is using petrol demand,” it said. A pick up in vacationer movement put up festive season furnished guide to ATF demand.

Reliance said there was once a robust traction in retail and bulk gasoline income via its network.

“Growth driven through focus on giant fleet clients (25 per cent year-on-year growth), fleet aggregators (114 per cent),” it said.

Its ATF sales were riding up by new client acquisition and higher share from present customers. “Improved ATF community competitiveness through logistical and furnish supply optimization,” the presentation said.

LPG sales was once up 37 per cent with new customers and increasing penetration in new markets.

Reliance said its petrol retail income revenues had been up 5 per cent at Rs 3,725 crore in the third quarter. As a lot as 538 million litres of gasoline was offered in the three month period.

Of the 1,394 petrol pumps that Reliance operates, 518 are employer owned and the final provider operated.

In April last year, Reliance agreed to promote 49 per cent in its petro retail enterprise to UK’s BP plc for Rs 7,000 crore. Reliance-BP joint venture agreed to increase the network to 5,500 in the next five years.

The u . s . a . presently has 66,817 petrol pumps, with public sector retailers proudly owning 59,716. PSU shops have plans to double this community and have already beginning appointing dealers. Russia’s Rosneft-backed Nayara Energy, formerly Essar Oil, has 5,525 petrol pumps and has plans to scale them up to greater than 7,000 in two-three years. Royal Dutch Shell has 169 stores and is slated to add 150-200 extra petrol pumps.